Retail Landlord Gazit-Globe Sets Sights on New York
April 23 2017 - 12:17PM
Dow Jones News
By Keiko Morris
Global retail landlord Gazit-Globe Ltd. is planning to open a
private U.S. subsidiary to invest in real estate in New York and
other major metropolitan areas, the company said.
Gazit-Globe, which is based in Israel and has focused on
supermarket-anchored shopping centers in urban markets, already has
a presence in the U.S. and New York City area through its
subsidiary, Equity One Inc., a shopping-center real-estate
investment trust.
Earlier this year, Equity One merged with and into Regency
Centers Corp., forming a company with 429 properties.
Urbanization has been an important theme for the company and its
subsidiaries, which have properties in many European countries,
Canada, the U.S., Israel and Brazil. Six years ago, Gazit-Globe
decided to focus exclusively on shopping centers in densely
populated urban hubs within economically stable countries, shedding
properties that didn't fit the bill.
One example of that strategy was Equity One's 2011 acquisition
of a Chelsea condominium that now houses upscale department store
Barneys New York.
Gazit-Globe's new U.S. division is looking for potential
investments in a range of property types, especially commercial and
mixed-use properties, a company spokesman said. Despite the growth
of e-commerce and store closures, retail real estate remains
attractive, said Chairman Chaim Katzman.
"Brick-and-mortar [retail], where 80% to 90% of the sales take
place, is still a powerful environment for brand building,
cultivating loyalty and experiential retail," he said.
Write to Keiko Morris at Keiko.Morris@wsj.com
(END) Dow Jones Newswires
April 23, 2017 12:02 ET (16:02 GMT)
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